Shopping centre on the market

PRVATELY LISTED: The shopping centre is next to the Kingsgate Hotel Conference Centre on the corner of Garnett Ave and Te Rapa Rd.

Relevant offers

The shopping centre on the corner of Garnett Ave and Te Rapa Rd is for sale.

The building's most prominent feature is the Spotlight store that has leased the spot for eight years.

Prior to that it was occupied by The Warehouse, and before that a supermarket.

Spotlight is in the middle of an 11-year lease that began on April 1, 2008.

Other tenants in the shopping centre include the Salvation Army, Dance Effects, a Lotto shop and a chemist.

The shopping centre is owned by an investment syndicate called Te Rapa Rd Nominees Ltd, and managed by KCL Property.

The property was privately listed last year, but has not yet sold. It is not being publicly listed and will be sold as a deadline private treaty with a deadline of May 29.

The sale is being managed by Theo de Leeuw of NAI Harcourts and Alan Pracy of Colliers.

KCL development projects manager Stephen Brown-Thomas said: "As yet, the property has not been sold at the price we were hoping to achieve.

"It's best offer, but realistically we are looking at around that $8 million mark."

He said the investors felt it was a good time in the investment life-cycle to sell. The property provides a "solid return", and the investors are happy to hold on to the property if the price isn't right.

The total annual rental income is $640,798 plus GST and outgoings.

The building is 4241 square metres, and the property is 7643sqm, including 114 carparks.